Primary Debt Capital Market Information Q4 217 Issuer Relations Origination
Over CHF 85 Billion was Raised in the Past 1 Years CHF bn 12 Volume and number of new bonds listings # bonds 2 16 8 12 4 8 4 28 29 21 211 212 213 214 215 216 217 CHF Bonds Domestic CHF Bonds Foreign Non-CHF Bonds (International) # CHF Bonds Domestic # CHF Bonds Foreign # Non-CHF Bonds (International) 29+ bonds were listed on SIX in 217 raising more than CHF 8 billion equivalent Note: The number of new bonds does only include initial issuances (no taps/increases of already outstanding bonds) Page 2
The Swiss Debt Capital Market Attracts Issuers from Various Countries The 1 largest bond issuers countries account for a total of ~ CHF 345bn outstanding bonds, representing around 88% of the total outstanding bonds Almost 5% of the outstanding bonds listed on SIX are stemmed from issuers with domicile in Switzerland The top-1 issuers list is dominated by issuers with domicile in Europe and the United States 4.4% 4.5% Top-1 issuers countries (outstanding volume of bonds) 4.9% 2.8% 2.1% CH 45.5% 5.4% 7.% 5.6% 6.2% GG GB NL US FR DE JE LU AT Excl. mortgage bond institutions, states, municipalities and cities, regions, cantons, provinces and supranational organizations; Data as of Dec-17 Page 3
The Financial Sector Dominates the Issuance of Bonds CHF bn 25 Outstanding bonds by sector 225 2 5 25 Excl. mortgage bond institutions, states, municipalities and cities, regions, cantons, provinces and supranational organizations; Data as of Dec-17 Page 4
The Average Maturity Remained Stable Regardless of the Lower Interest Rate Environment Years 9 8 7 6 5 4 3 2 1 Average Maturity 35 3 25 2 15 1 5 21 211 212 213 214 215 216 217 Average Maturity # bond issuances # bonds CHF swap rates 3.% 2.5% 2.% 1.5% 1.%.5%.% -.5% -1.% 21 211 212 213 214 215 216 217 5-yr swap rates (mid price) 7-yr swap rates (mid price) 1-yr swap rates (mid price) The average maturity of all bonds listed between 21-217 was 7 years Unweighted; Excl. perpetual bonds, mortgage bond institutions, states, municipalities and cities, regions, cantons, provinces and supranational organizations Source: Bloomberg and SIX ; Data as of Dec-17 Page 5
Around CHF 7 Billion of Bonds Will Mature Within the Coming 2 Years CHF bn 8 7 6 5 4 3 2 1 - Maturing bonds (218-219) # bonds 35 3 25 2 15 1 5 Volume issuance # issuance ~ 36 bonds amounting to approximately CHF 7 billion (nominal) will mature within the next two years The highest spike is in in September 218 with around CHF 6.8 billion The highest number of maturing bonds will occur in November 218 with 29 bonds Incl. follow-ons; Excl. perpetual bonds, mortgage bond institutions, states, municipalities and cities, regions, cantons, provinces and supranational organizations; Data as of Dec-17 Page 6
The Lower the Rating, the Higher the Compression on Z-spreads bps 25 Z-spreads EUR All Corporates - 7 year 2 15 1 5 - AAA AA A BBB Note: The z-spread, also known as the zero-volatility spread or the static spread, is the amount of yield received from a non- Government bond over and above the yield for the same-maturity Government bond (constant spread over risk free rate) Annual Compounding Source: S&P Capital IQ; Dec-17 Page 7
We are Happy to Support You Valeria Ceccarelli Head Issuer Relations +41 58 399 218 valeria.ceccarelli@six-group.com ACCOUNT MANAGEMENT (BEING PUBLIC) Andrea von Bartenwerffer Head Account Management +41 58 399 2941 andrea.vonbartenwerffer@six-group.com Christian Geiger Relationship Manager +41 58 399 3127 christian.geiger@six-group.com Arbresha Zeneli Specialist +41 58 399 3184 arbresha.zeneli@six-group.com ORIGINATION (GOING PUBLIC) Patrick Förg Head Origination +41 58 399 2153 patrick.foerg@six-group.com Christian Fehr Relationship Manager +41 58 399 3743 christian.fehr@six-group.com Sekar Istianingrum Analyst +41 58 399 3826 sekar.istianingrum@six-group.com None of the information contained herein constitutes an offer to buy or sell or take any other action regarding financial instruments. SIX AG is liable neither for the completeness, accuracy, currentness and continuous availability of the information given, nor for any loss incurred as a result of action taken on the basis of information provided in this or any other SIX publication. SIX AG expressly reserves the right to alter prices or composition of products or services at any time. There may be restrictions on the sale of products traded at SIX AG in the case of certain countries and individuals. It is the responsibility of each investor to observe the issuer's terms and conditions. The information contained in this document does not constitute legal or tax advice. SIX, SIX, SPI, Swiss Performance Index (SPI), SPI EXTRA, SPI ex SLI, SPI Select Dividend 2 Index, SMI, SMI Swiss Market Index, Swiss Market Index (SMI), SMIM, SMI MID (SMIM), SMI Expanded, SXI, SXI Real Estate, SXI Swiss Real Estate, SXI Life Sciences, SXI Bio+Medtech, SXI Switzerland Sustainability 25 Index, SLI, SLI Swiss Leader Index, SBI, SBI Swiss Bond Index, SAR, SAR SWISS AVERAGE RATE, SARON, SCR, SCR SWISS CURRENT RATE, SCRON, SAION, SCION, VSMI, SWX Immobilienfonds Index, MQM, MQM Market Quality Metrics, QQM, QQM Quotes Quality Metrics, COSI, CONNEXOR, SMI Indices are trademarks that have been registered in Switzerland and/or abroad by SIX Group AG respectively SIX AG. Their use is subject to a licence. SIX AG, February 218 Page 8